UPGRADENY CALLS FOR THE NEW YORK PUBLIC SERVICE COMMISSION TO ADVANCE UTILITY THERMAL ENERGY NETWORK PROJECT PROPOSALS 

Thermal energy networks will deliver New York the neighborhood-scale decarbonization it needs to achieve a strategic and equitable transition to a clean energy future 

ALBANY, N.Y., December 21, 2023 — In response to New York utilities submitting proposals for 13 pilot Utility Thermal Energy Network (UTEN) projects to the New York Public Service Commission (PSC), as required by the Utility Thermal Energy Network and Jobs Act (UTENJA), the UpgradeNY collaboration issued the following statement:

“UpgradeNY has reviewed the 13 thermal energy network project proposals submitted by the utilities. We urge the PSC to swiftly advance 11 of the proposals which meet both the intent of UTENJA and the criteria required by the PSC from Stage 1 (Scope Feasibility) to Stage 2 (Engineering) of the project development process. Advancing these projects will move New York State one step closer to decarbonizing its buildings at neighborhood scale while providing a just transition for its union workforce.

The proposed pilot projects provide a variety of exciting and innovative approaches to designing and deploying thermal energy networks in different built environments, enabling the PSC and utilities to test multiple business models and design approaches. We applaud the fact that the majority of projects are located in Disadvantaged Communities (DACs). We believe there are also opportunities to expand these projects in their host neighborhoods in the future.

We request that the Commission pause approval of the project proposals filed by National Fuel Gas and National Grid KEDLI-LIPA. We have filed requests for additional information and ask the Companies to refine the proposals to better meet the objectives of UTENJA. As it stands, there are still avenues that must be explored so that the projects do not have a continued heavy reliance on fossil fuels.

We call on the utilities to ensure that, consistent with the intent of the UTENJA, all of the infrastructure and construction work for each pilot is completed using project labor agreements, which include apprenticeship and pre-apprenticeship programs. Labor peace should be achieved with unionized utility workers, while facilitating workforce transition planning. We also urge the utilities to Buy American when constructing these projects.

Each of the projects that we support advancing provide distinct learning opportunities to the PSC and utilities, enabling them to gain the knowledge they need to advance New York’s thermal energy network industry and support the development of a strong regulatory framework to govern deployment of thermal energy networks across the state. For example, the Rockefeller Center project offers a unique opportunity to explore the development of UTENs for large-scale commercial buildings in a hyper-urban location.

We look forward to the next stage of development of these projects, which we believe will show the industry and its stakeholders how this technology will provide customers with much-needed energy services, create new business opportunities for New York’s gas utilities, and ensure climate jobs for union workers, while cost-effectively electrifying the state’s building stock.”

 ###

About UpgradeNY: The UpgradeNY collaboration works together to advocate for affordable solutions to decarbonize New York’s buildings while creating a strong foundation for good-paying union jobs. In 2022, the UpgradeNY collaboration successfully led the campaign to pass the Utility Thermal Energy Networks and Jobs Act, which allowed for the creation of utility-scale infrastructure projects that connect multiple buildings in a shared thermal network. This legislation will allow entire neighborhoods and communities to access affordable clean heating and cooling at a time, reduce greenhouse gas emissions from buildings, and provide a just transition for workers. Members include Building Decarbonization Coalition, New York League of Conservation Voters, The New York State AFL-CIO, ALIGN, WE ACT for Environmental Justice, Building Trades Council of Greater New York, Sierra Club’s Atlantic Chapter and Alliance for a Green Economy (AGREE). Learn more at upgradeny.org.